If someone you cosigned for declares bankruptcy, are you protected from creditor calls? (Infographic)

If someone you cosigned for declares bankruptcy, are you protected from creditor calls?

If someone you cosigned for declares bankruptcy are you protected from creditor calls?

  1. No. Once an individual has declared bankruptcy, creditors can no longer contact them. They will however be able to contact a co-signer who has not declared bankruptcy.
  2. Naturally, if you have co-signed for a loan, and the person you co-signed for goes bankrupt, the lender will almost assuredly expect you to satisfy the debt. Any item that has a co signer to it will not be protected by the bankruptcy.
  3. If you have had someone co-sign a loan, and you are planning on declaring bankruptcy, it is best if you contact that person and let them know of the situation, rather than having them become aware of it from the first creditor call.
  4. Also, by informing your co-signer up front, they will have the option to assume the loan and transfer it into their own name prior to it going into default


Very Supportive And Available To Answer All My Questions | Sept 29, 2015


Job loss, separation and bankruptcy forces you to reorganize every aspect of your life from parenting to car payments.
After the bankruptcy process, I am confident I can stay in budget and avoid future debt. A gift that will keep on giving!!
Don was very supportive and available to answer all my questions.
Thank you!

About Us

“We started this business in 1990 to provide one on one financial solutions. We are here to help you through your solution with dignity, respect and the highest confidence in your future.”

Paul J. Pickering CPA CA CIRP LIT

Paul J. Pickering and Associates Limited (formerly Paul J. Pickering Limited) was founded in 1990 with the ideas and thought of helping individuals deal with personal debts and the process of financial rehabilitation.

Paul Pickering graduated from the Ivey School of Business, University of Western Ontario in 1976. In 1980 Paul received his Chartered Accountants designation and his Trustee licence in 1988.

While working for a national insolvency firm, Paul saw the need of providing financial services on an individual basis without the structure of a large imposing firm. On November 1, 1990, the firm was born.

Since 1990, the firm has continued to provide one on one service to London and area. All facets of the Bankruptcy process or Proposal process are conducted within the office. Unlike other firms, we do not use contract facilities to provide the counselling required under the legislation.

All consultations are free of charge because we encourage people to understand the process. We leave the decision to the individual as to how they wish to resolve their financial situation.

Our goal is to treat everyone facing financial difficulty with dignity and respect.